Suppose that demand and supply curves in the market for corn are Qd = 20,000 50P

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Suppose that demand and supply curves in the market for corn are Qd = 20,000 − 50P and Qs = 30P. Suppose that the government would like to see the price at $300 per unit and is prepared to artificially increase demand by initiating a government purchase program. How much would the government need to spend to achieve this? What is the total deadweight loss if the government is successful in its objective?
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Microeconomics

ISBN: 978-0073375854

2nd edition

Authors: Douglas Bernheim, Michael Whinston

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